Reports: Rumors False, Jerry Isn't Quitting Today (YHOO)

An email being passed between hedge funds today says Yahoo (YHOO) employees were just sent a memo, telling them to expect a “major & historical announcement” at 2 p.m. PST. The email quotes sources who say CEO Jerry Yang will step down and Microsoft (MSFT) is about to buy the company. Yahoo stock climbed as much as 10% on the news.

But It's bogus, reports NYT's DealBook, citing "people close to both companies." Dow Jones' Kara Swisher says it's "dead wrong" too. Jerry is still scheduled to speak later today at the Web 2.0 Summit in San Francisco.

Here's the false email:

Employees at YHOO are said to have just received an internal memo, time-stamped at 8:00 PST, to expect a “major & historical announcement” today some time after 2pm PST. Sources are saying that “Yang has agreed to leave his post effective today and that YHOO is again in late-stage talks to sell the whole company to MSFT”. Deal is imminent and could be done by tonight. Price being mentioned is $17-$19.